Kwara Advocates Improved IGR To Solve Cash Crunch | Independent Newspapers Limited
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Kwara Advocates Improved IGR To Solve Cash Crunch

Posted: Sep 22, 2015 at 12:11 am   /   by   /   comments (0)

The Kwara State Government has said that the only panacea to resolve the State’s cash crunch and the salary crisis affecting state was to increase the volume of its Internally Generated Revenue (IGR).

Gov. Abdulfatah Ahmed said this on Sunday night during a meeting with officials of the Nigeria Labour Congress (NLC), Trade Union Congress (TUC), Nigeria Union of Local Government Employees, Nigeria Union of Teachers (NUT) and Nigerian Union of Pensioners (NUP).

The governor, in a release signed by his Senior Special Assistant (SSA), Media, Dr Muideen Akorede, on Monday said increased IGR was the only way the state can survive its current economic challenges.

He therefore called on the people to support the state Internal Revenue Service (KWIRS) to meet its revenue targets so that salary arrears in the state would become a thing of the past.

Ahmed assured the workers that the N5 billion bailout for the payment of salary and pension arrears for the local government would be released soon by the Central Bank of Nigeria (CBN).

The governor expressed concern over the hardship local government workers and pensioners were facing by the arrears which he said was due to drop in monthly federal allocation.

He commended the workers and pensioners for their patience and pledged to continue working to ensure that the funds were released without further delay.

According to him, the bailout, when received, will clear existing arrears in the 16 local government councils of the state.

Ahmed said the state government received N4.3 billion bailout promised by the Federal Government to clear the two months’ arrears owed state civil servants.

He also told the union leaders that the federal government has restructured the state government’s N15 billion debt into a low-interest 20-year bond.

He said the expected savings would enhance the state government’s capacity to meet its salary obligations and other responsibilities.

Ahmed said government was putting together a special package to turn around Radio Kwara, The Herald and Kwara Television to enable them generate revenue to cover their overheads and contribute to IGR.